Lithography is a pivotal step in semiconductor manufacturing, responsible for transferring circuit patterns onto the silicon wafer. This is achieved using Deep Ultraviolet (DUV) and Extreme Ultraviolet (EUV) light sources. ASML, headquartered in the Netherlands, holds a dominant position in the supply of lithography equipment, particularly for the advanced EUV technology. Other significant players include Canon and Nikon, both based in Japan, with facilities also in the USA. Smaller suppliers like S-Cubed (USA) and EV Group (Austria, with operations in the USA) also contribute to the lithography equipment market. The near-monopoly of the Netherlands in EUV lithography establishes the country as a strategically important and potentially vulnerable point in the global semiconductor supply chain, given the essential role of this technology in producing leading-edge microchips. Japan and the USA also maintain a strong presence in the broader lithography equipment market, particularly in DUV technologies. The global lithography market is projected to reach $32.16 billion in 2026 according to [Market Forecasts](https://www.fortunebusinessinsights.com/lithography-equipment-market-110434). While the Netherlands dominates EUV, Japan (Nikon and Canon) leads in **DUV** and Nanoimprint technology.
The process is similar to traditional film photography but on a nanoscopic scale.
The Light Source: A laser (usually an Argon Fluoride laser) produces light with a wavelength of 193 nanometers (nm). This wavelength is in the "Deep Ultraviolet" spectrum.
The Mask (Reticle): The light shines through a "mask"—a master template that contains the pattern of the chip's circuitry.
The Lens System: High-precision optics shrink the pattern from the mask and focus it onto a silicon wafer.
The Exposure: The wafer is coated with a light-sensitive chemical called photoresist. When the DUV light hits the resist, it triggers a chemical change that "bakes" the pattern into the layer.
To keep up with Moore’s Law (the doubling of transistors on a chip roughly every two years), engineers pushed DUV technology to its physical limits:
Dry Lithography: The original method where the "gap" between the lens and the wafer is filled with air.
Immersion Lithography: A major breakthrough where a layer of purified water is placed between the lens and the wafer. Because water has a higher refractive index than air, the light bends more sharply, allowing for even smaller, higher-resolution features.
Multi-Patterning: To create features smaller than the wavelength of the light itself, manufacturers use multiple exposures (patterning the same area 2, 4, or even 8 times) to achieve finer details.
While ASML has moved into Extreme Ultraviolet (EUV) lithography for the most advanced chips (2nm, 3nm, 5nm), DUV remains essential.
DUV (Deep Ultraviolet)
Wavelength: 193 nm
Common Use: Memory chips, automotive, IoT
Complexity: High (uses water and multi-patterning)
Cost: Cost-efficient for mass production
EUV (Extreme Ultraviolet)
Wavelength: 13.5 nm,
Common Use: Leading-edge processors (AI, High-end phones)
Complexity: Extreme (uses vacuums and mirrors)
Cost: Very high ($150M+ per machine)
Upwards of 100 million USD, ASML's extreme ultraviolet (EUV) lithography systems provide the highest resolution in high-volume manufacturing. By enabling chipmakers to squeeze even more transistors onto a single chip, the state-of-the-art technology – which is unique to ASML – is pushing Moore’s Law forward.
Deep ultraviolet (DUV) lithography systems are the cornerstone of the semiconductor industry. The dry and immersion DUV systems in our portfolio are used for high-volume manufacturing of the most advanced Logic and Memory chips, novel chip innovation and everything in between.
The TWINSCAN NXE:3800E is the successor to the TWINSCAN NXE:3600D. It combines imaging and overlay improvements with a big step up in productivity.
The NXE:3800E is designed to cost-efficiently support volume production of 2 nm Logic nodes and leading-edge DRAM nodes. Its patterning capabilities are complementary to those provided by our immersion lithography systems.
A new bottom module was key to boosting productivity in the NXE:3800E. The module, which is common with the 0.55 NA EXE platform, includes a new wafer handler, faster wafer stages and other components needed to support increased throughput. A higher-power source, another component shared with the EXE platform, also contributed to the system’s productivity.
The NXE:3800E optimizes imaging and overlay performance for each exposed wafer by combining in-situ measurements with per-wafer correction capability of the optics and stages. Better stage alignment further supports the improved overlay. And by mitigating mirror heating, the system is able to offer imaging with reduced aberrations and increased stability.
Source: ASML
ASML's EXE:5200B system features a 0.55 Numerical Aperture (NA) and can achieve 8 nm resolution for sub-2nm nodes. These systems use precision optics frASML's EXE:5200B system features a **0.55 Numerical Aperture (NA)** and can achieve **8 nm resolution** for sub-2nm nodes. These systems use precision optics from [ZEISS SMT](https://www.zeiss.com/semiconductor-manufacturing-technology/inspiring-technology/high-na-euv-lithography.html).om ZEISS SMT.
- **Netherlands ([ASML](https://www.asml.com/en/products/euv-lithography-systems)):** Sole provider of EUV; holds ~82% market share.
- **Japan (Nikon, Canon):** Dominates DUV and specialized NIL; critical for automotive and consumer electronics.
- **USA (KLA, Applied Materials):** Leaders in metrology, light sources, and process control.
- **China (SMEE):** Actively developing domestic EUV prototypes to achieve self-sufficiency.
- High-NA EUV systems (e.g., ASML EXE:5200B) cost approximately $380 million to $400 million each.
- For sub-2nm nodes, High-NA EUV can reduce patterning costs by 20-40% on critical layers by enabling single-exposure lithography, replacing the complex and defect-prone multi-patterning required by standard EUV.
- Strategic Divide: Intel is the first-mover with High-NA for its 14A node, while TSMC continues to use standard EUV multi-patterning for its initial 2nm production to manage costs.
The global market for lithography equipment is projected to reach $32.16 billion by 2026. While the Netherlands (ASML) dominates the cutting-edge EUV market, Japan (led by Nikon and Canon) remains a leader in DUV and specialized Nanoimprint technologies, which are critical for the global supply chain of consumer electronics.